Page 128 - Bruce Ellig - The Complete Guide to Executive Compensation (2007)

114 The Complete Guide to Executive Compensation

own. A common complaint of the subordinate is that the superior does not spend sufficient
time with the individual discussing objectives and performance.
Typically, as an executive rises in the organization, less and less time is available for
his or her own work, and more and more time must be directed to the work of others,
especially within the unit. This places an inordinate demand on the executive’s time. It is thus
essential that the executive be able to use time effectively. For most, this means identifying
and prioritizing tasks daily, examining the monthly requirements weekly, assessing the
yearly commitments monthly, and examining the long-range needs at least yearly. This
continual assessment of priorities to ensure proper focus is as important as the expenditure
of effort in completing the tasks.
Every executive must maximize the capabilities of subordinates, while limiting their
exposure to their limitations. However, in areas of strength, they must be afforded the oppor-
tunity to fail! This means rewarding success and punishing failure. However, the risk of
failure should be commensurate with the subordinate’s ability, and the ability of the unit, to
accept failure of that particular task.
Some executives are completely open with their subordinates; others are more obtuse.
Some are very objective, others more subjective. Some are directive, others more participative.
The effectiveness of the executive in executing a particular style is probably more important
than the style itself. Furthermore, each subordinate must be counseled on performance, and
the assessment must be based on current work, not past successes or failures. It is also impor-
tant not to confuse pronouncements by subordinates with performance. When successful, the
individual should be complimented then, not six months later in the written review. If the indi-
vidual has not been successful, be candid but kind, not only in highlighting the shortcomings,
but also in identifying possible ways in which the person would have been successful. This
two-step process—what is wrong and how to be successful—are critical components of an
appraisal and coaching program.
Subordinates should believe they are not “being used” by the executive simply to further
his or her own career. Subordinates can more effectively sabotage an executive’s career
growth than the peer group because it is the subordinate’s work for which the executive takes
credit or blame. Here’s a simple piece of advice: emulate the things one believes one’s own
superior does well, and find better ways to do things he or she does not do well.

Problem Areas
Sometimes executives stay in positions that do not match up well with their abilities, includ-
ing personal values. Believing that their family and others are counting on them, they con-
tinue in the position instead of considering alternatives. An objective review might result in
a major change, or at least significant refinements, in the current work. Too often, executives
focus on the position instead of what is an extension of what they like to do. Individual skills
are only part of the whole person. It is the latter that must fit the position.
There are six problem areas that could derail executives’ “express to success” and send
them in search of other alternatives. They are the impact of stress, becoming a workaholic,
facing a career crisis, burnout, inappropriate behavior, and greed. Let’s examine each of these.
Impact of Stress. Stress is a part of most executives’ lives. Making high-stake decisions with
limited resources over long hours of work results not only in high stress but also in limited
hours of sleep to rest and recover. Engineers talk of stress in terms of the amount of weight